MIRA INFORM REPORT

Report Date :

15.06.2011

IDENTIFICATION DETAILS

Name :	INTEGRATED EQUIPMENT (INDIA) PRIVATE LIMITED
Registered Office :	Gat No.309/2 and 309/3, Kandhapuri Nagar Road, Tal Shirur – 412209, Kondhapuri, Maharashtra
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	14.11.2005
Com. Reg. No.:	135950
Capital Investment / Paid-up Capital :	Rs.31.100 Millions
CIN No.: [Company Identification No.]	U28100PN2005PTC135950
TAN No.: [Tax Deduction & Collection Account No.]	MUMW02870A
PAN No.: [Permanent Account No.]	AAACW6150A
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is primarily engaged in the manufacture and sale of pipe fittings and pressure control equipment used in the oil and gas industry
No. of Employees :	Not divulged by the management

RATING & COMMENTS

MIRA’s Rating :

Ba (43)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 271412
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a subsidiary of WSI Holdings S A, Panama. It is an established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

LOCATIONS

Registered Office :	Gat No.309/2 and 309/3, Kandhapuri Nagar Road, Tal Shirur – 412209, Kondhapuri, Maharashtra, India
Tel. No.:	91-2137-618888
Fax No.:	91-2137-618889
E-Mail :	brij86@hotmail.com

DIRECTORS

AS ON 30.09.2010

Name :	Mr. Mohanlal R Sharma
Designation :	Director
Address :	17/6-A, Chakrata Road, Dehradun – 248001, Uttarkhand
Date of Birth/Age :	10.01.1936
Date of Appointment :	14.11.2005
Name :	Ms. Saroj B Sharma
Designation :	Director
Address :	17/6-A, Chakrata Road, Dehradun – 248001, Uttarkhand
Date of Birth/Age :	15.01.1938
Date of Appointment :	14.11.2005

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 30.09.2010

Names of Shareholders	No. of Shares
WSI International, Panama	3109999
Mohanlal R Sharma	1
Total	3110000

AS ON 30.09.2010

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is primarily engaged in the manufacture and sale of pipe fittings and pressure control equipment used in the oil and gas industry

PRODUCTION STATUS AS ON 31.03.2010

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Pulsation dampeners, Blow-out preventers, Tubing hangers, Tree caps, Valves, Flanges, etc.	Nos.	175000	150000	9325

* The installed capacity disclosed above is as per certificate from management which has been relied upon by the auditors without verification.

GENERAL INFORMATION

No. of Employees :

Not Divulged by the management

Bankers :

State Bank of India, Industrial Finance Branch, Kasarwadi, Pimpri, Pune - 411034, Maharashtra, India

Facilities :

SECURED LOAN	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
Term loans from bank [includes interest accrued and due Rs.0.910 Million (previous year Rs.0.131 Million)] (Amount repayable within 1 year Rs. 12.926 Millions)	77.325	14.881
Working capital facilities Secured by way of hypothecation of stock, book debts, and moveable fixed assets, equitable mortgage on factory land and building, lien on term deposit receipt (partly paid by a related entity), corporate guarantee from a body corporate, and personal guarantees of the directors	27.452	40.383
TOTAL	104.777	55.264
UNSECURED LOAN	Rs. In Millions 31.03.2010	Rs. In Millions 31.03.2009
From bodies corporate [repayable within a year Rs. Nil, (previous year Rs. Nil)] [includes interest accrued and due Rs. Nil (previous year Rs. 1.449 Millions) and loan denominated in foreign currency Rs. Nil (previous year Rs. 5.357 Millions)]	9.500	16.806
TOTAL	9.500	16.805

Banking Relations :	--
Auditors :
Name :	Price Waterhouse and Company Chartered Accountant
Address :	Mutha Towers, 5^th Floor, Suit No.8, Airport Road, Pune – 411006, Maharashtra, India
Holding Company :	WSI Holdings S A Panama

CAPITAL STRUCTURE

AS ON 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
8000000	Equity Shares	Rs.10/- each	Rs.80.000 Millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
3110000	Equity Shares	Rs.10/- each	Rs.31.100 Millions

Of the above, 3,109,999 (previous year 3,109,999) equity shares are held by WSI Holdings S.A., Panama, the holding company

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009
SHAREHOLDERS FUNDS
1] Share Capital		31.100	31.100
2] Share Application Money		0.000	0.000
3] Reserves & Surplus		36.753	29.686
4] (Accumulated Losses)		0.000	0.000
NETWORTH		67.853	60.786
LOAN FUNDS
1] Secured Loans		104.777	55.265
2] Unsecured Loans		9.500	16.806
TOTAL BORROWING		114.277	72.071
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		182.130	132.857
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		125.759	62.077
Capital work-in-progress		8.128	6.196
INVESTMENT		0.000	0.000
DEFERREX TAX ASSETS		0.212	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	24.542	40.864
	Sundry Debtors	24.664	41.965
	Cash & Bank Balances	8.565	16.283
	Other Current Assets	8.735	0.619
	Loans & Advances	19.314	13.220
Total Current Assets		85.820	112.951
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	33.379	40.303
	Other Current Liabilities	3.702	7.901
	Provisions	0.707	0.164
Total Current Liabilities		37.788	48.368
Net Current Assets		48.031	64.584
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		182.130	132.857

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009
	SALES
		INCOME (INCLUDING OTHER INCOME)	106.892	179.758
Less	EXPENSES
		TOTAL	99.531	155.615
	PROFIT BEFORE TAX		7.361	24.143
Less	TAX		0.295	0.564
	PROFIT AFTER TAX		7.066	23.579
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		29.686	6.107
	BALANCE CARRIED TO THE B/S		36.753	29.686
	EARNINGS IN FOREIGN CURRENCY
		Export Earnings	78.797	157.466
	TOTAL EARNINGS		78.797	157.466
	IMPORTS
		Raw Materials	2.172	11.705
		Capital Goods	0.150	0.744
	TOTAL IMPORTS		2.322	12.449
	Earnings Per Share (Rs.)		2.27	7.58

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009
PAT / Total Income	(%)	6.61	13.11
Return on Total Assets (PBT/Total Assets}	(%)	3.48	13.79
Return on Investment (ROI) (PBT/Networth)		0.11	0.40
Debt Equity Ratio (Total Liability/Networth)		2.24	1.98
Current Ratio (Current Asset/Current Liability)		2.27	2.33

LOCAL AGENCY FURTHER INFORMATION

Company overview:

Subject, incorporated in 2006 as Well Site International Services (India) Private Limited, is a subsidiary of WSI Holdings S.A. Panama. The Company is primarily engaged in the manufacture and sale of pipe fittings and pressure control equipment used in the oil and gas industry.

FORM 8:

Corporate identity number of the company	U28100PN2005PTC135950
Name of the company	INTEGRATED EQUIPMENT (INDIA) PRIVATE LIMITED
Address of the registered office or of the principal place of business in India of the company	Gat No 309/2 and 309/3, Kondhapuri, Nagar Road, Tal-Shirur, Kondhapuri – 412209, Maharashtra, India
This form is for	Modification of charge
Type of charge	Immovable Property
Particular of charge holder	State Bank of India
Nature of instrument creating charge	Memorandum for recording extension of Mortgage covering Enhanced Limits and/or creation of Equitable Mortgage on Additional Properties for Existing Limits and Enhanced Limits And Additional Facilities
Date of instrument Creating the charge	28/09/2010
Amount secured by the charge	Rs.217.900 Millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of Interest As per Agreement with the Bank Terms of Repayment As per the Agreement with the Bank Margin As per the Agreement with the Bank Extent and Operation of the charge The charge on hypothecated and mortgaged property continues till full repayment of Loan. Others Other terms and conditions are as per Agreement.
Short particulars of the property charged	Hypothecation of existing as well as future stocks of raw materials, finished goods, stocks-in-process, stores and spares, packing materials of the unit at Factory premises or at some other places including goods in transit, outstanding moneys,book debts, receivables and all other current assets. For Term Loan I - Hypothecation of Movable Fixed Assets purchased out of Bank Finance and Equitable Mortgage charge on Land and Building at W-13, M.I.D.C.,Bhosari Term Loan II-Hypothecation of Movable Fixed Assets proposed to be purchased out of TL. constructed over it in the Indl.Zone bearing Gat No.309, Hissa No.3 adm.1H i.e.100 ares sit.at Vill.Kondhapuri,Tal.Shirur,Dist.Pune and within limits of Gram Panchayat Kondhapuri,Zilla Parishad Pune. Equitable Mort.of prop to cover total limit- All that piece and parcel of agri. land or ground and factory building All that piece and parcel of agricultural land or ground and factory building constructed over it in Indl.Zone bearing Gat No.309,Hissa No.2 adm.1H i.e.100 ares sit.at Vill.Kondhapuri,Tal.Shirur,DistPune
Particulars of the present modification	Mortgage of immovable properties of Co. All that piece and parcel of agricultural land or ground and factory building constructed over it in the Indl.Zone bearing Gat No.309, Hissa No.3 adm.1H i.e.100 ares sit.at Vill.Kondhapuri, Tal.Shirur, Dist. Pune and agricultural land or ground and factory building constructed over it in the Indl.Zone bearing bearing Gat No.309, Hissa No.2 adm.1H i.e.100 ares sit. at Vill. Kondhapuri, Tal.Shirur, Dist. Pune to secure the total facilities availed by the Company.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.
UK Pound	1	Rs.
Euro	1	Rs.

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10
PAID-UP CAPITAL	1~10
OPERATING SCALE	1~10
FINANCIAL CONDITION
--BUSINESS SCALE	1~10
--PROFITABILIRY	1~10
--LIQUIDITY	1~10
--LEVERAGE	1~10
--RESERVES	1~10
--CREDIT LINES	1~10
--MARGINS	-5~5
DEMERIT POINTS
--BANK CHARGES	YES/NO
--LITIGATION	YES/NO
--OTHER ADVERSE INFORMATION	YES/NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO
--EXPORT ACTIVITIES	YES/NO
--AFFILIATION	YES/NO
--LISTED	YES/NO
--OTHER MERIT FACTORS	YES/NO
TOTAL

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
-	NB	New Business	-

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.